Financial Incentives
Baseline Financial Incentive.
The baseline entry level of the program is 15% above the 2008 Title 24 building code with the incentive payments based on the final 2008 T-24 reports created and signed by a Certified Energy Plans Examiner (CEPE) and verified by a third-party HERS Rater. The incentives increase incrementally as the performance of the structure increases. Multi-family projects in PG&E’s service area are covered under another program. Please see 2010-2012 Participant Handbook and program Agreement for Single-Family and Multi-Family New Construction Projects for contact information.
A calculator for the incentives is provided in the Agreement and based on the utility calculation forms generated by the input file. Applicants may be required to demonstrate the viability of the project they are submitting. The structure of the baseline financial incentives is as follows:

Chart showing the 2010-2012 Incentive Rates
Incentives and Bonus Kickers
Additional incentives are available to California Advanced Homes Program participants who increase the energy efficiency of their projects.
These ‘bonus’ kickers and incentives apply to design teams, solar projects that reduce peak demand, and residential new construction projects that achieve ENERGY STAR®, Green Home, and Compact Home certification.
Incentives begin when a home is designed to be a minimum of 15% better than the 2008 Title 24 Energy Code.
- The minimum incentive is $1.72/therm, $0.43/kWh and $75/kW saved.
- The incentive levels continue to increase until performance is 45% above code.
- At that level, the incentives would be $5.14/therm, $1.29/kWh and $225/kW.
In addition to the base incentives, the following ‘bonus’ kicker incentives are now available:
- Environmental Protection Agency ENERGYSTAR® for Homes bonus - 10% Bonus for builders who achieve final certification in the ENERGY STAR® Program.
- Green Building Program bonus – 10% bonus for homes participating in recognized programs. At this time these are the California Green Builder, Green Point Rated and LEED-H.
- Compact Home bonus – 15% bonus for building homes that are smaller than the CAHP published baseline square footage. This baseline will be determined by type of building and number of bedrooms, and will be updated annually.
- kW Reduction bonus – Bonus calculated based on reduction of peak kW demand through the use of solar photovoltaic (PV) panels – This is a performance bonus calculated based on the peak kW production of the installed PV system; the base incentive rates will apply.
- Design Team Incentive bonus – 50% up to $5,000. This incentive is earned by holding a charrette with the following attendees: Builder, Architect, Structural Engineer, Mechanical Engineer and/or contractor, Electrical Engineer, and/or contractor, Plumbing Engineer and/or contractor, Energy Consultant and utility Energy Efficiency Representative. This is available for projects of 10 units or more.
More Information.
To learn more about these and other features of the California Advanced Homes Program please contact your local Account Representative.
CAHP Document Library
- CAHP Agreement (PDF, 1.46 MB)
- CAHP Supplemental Checklist (PDF, 139 KB)
- CAHP Design Team Incentive - Customer Application (form 1) (PDF, 238 KB)
- CAHP Design Team Incentive - Required Documentation (form 2) (PDF, 238 KB)
- CAHP Fact Sheet (PDF, 365 KB)
California Climate Zone Fact Sheets
- Zone 1
(PDF, 385 KB) - Zone 2
(PDF, 373 KB) - Zone 3
(PDF, 385 KB) - Zone 4
(PDF, 377 KB) - Zone 5
(PDF, 377 KB) - Zone 6
(PDF, 381 KB) - Zone 7
(PDF, 381 KB) - Zone 8
(PDF, 381 KB) - Zone 9
(PDF, 381 KB) - Zone 10
(PDF, 381 KB) - Zone 11
(PDF, 377 KB) - Zone 12
(PDF, 381 KB) - Zone 13
(PDF, 365 KB) - Zone 14
(PDF, 365 KB) - Zone 15
(PDF, 381 KB) - Zone 16
(PDF, 385 KB)
Climate Zone information, including a map and list of Climate Zones by city, is available on the California Energy Commission's website.*




